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Class 10 Economics Chapter 1 MCQ | Development Important MCQ

This article is determined to provide you with Class 10 Economics Chapter 1 MCQ. These MCQs can be very helpful for your class 10 board exams. Use these to score well on your exams and achieve the best possible marks. I scored 98 in my Class 10 social science exams, and below I have provided the study materials for Class 10 economics that I personally used for my preparation of Class 10 Economics Chapter 1 MCQ. If you use these Development Important MCQs, you can also get good marks.

CHAPTER I : DEVELOPMENT

Class 10 Economics Chapter 1 MCQ

Class 10 Economics Chapter 1 MCQ

Here are the top 50 best Class 10 Economics Chapter 1 MCQ –

1. According to the chapter, what is a common aspiration for different categories of people like landless laborers and prosperous farmers? (a) To settle their children abroad. (b) More income.

(c) To own a car. (d) To become leaders in the village. Answer: (b) More income.


2. The idea that “what may be development for one may not be development for the other” is exemplified by: (a) A girl wanting the same freedom as her brother. (b) Farmers wanting better wages for their crops. (c) Industrialists wanting more dams which may displace tribals.

(d) An unemployed youth wanting a job. Answer: (c) Industrialists wanting more dams which may displace tribals.


3. Besides income, what are other important goals people seek in life? (a) Only material goods. (b) Only more consumption. (c) Equal treatment, freedom, security, and respect.

(d) More days of work only. Answer: (c) Equal treatment, freedom, security, and respect.


4. If women are engaged in paid work, what significant change occurs in their lives? (a) They have less time for their families. (b) Their dignity in the household and society increases.

(c) They are forced to share less housework. (d) Their sense of security decreases. Answer: (b) Their dignity in the household and society increases.


5. For comparing countries, what is considered one of the most important attributes? (a) Their population. (b) Their geographical area. (c) Their income.

(d) Their military power. Answer: (c) Their income.


6. Why is total income not a useful measure for comparing countries? (a) It is difficult to calculate. (b) Countries have different populations, so it doesn’t reflect what an average person earns.

(c) It is always measured in local currency. (d) The World Bank does not recognize it. Answer: (b) Countries have different populations, so it doesn’t reflect what an average person earns.


7. What is the average income of a country also called? (a) Gross Domestic Product. (b) Total Income. (c) National Income. (d) Per capita income.

Answer: (d) Per capita income.


8. Which organization uses per capita income as a criterion to classify countries in its World Development Reports? (a) United Nations Development Programme (UNDP). (b) World Health Organization (WHO). (c) World Bank.

(d) International Monetary Fund (IMF). Answer: (c) World Bank.


9. According to the World Bank’s 2023 data, countries with a per capita income of US$ 63,400 per annum and above are called: (a) Low-income countries. (b) Low middle-income countries. (c) Developing countries. (d) High income or rich countries.

Answer: (d) High income or rich countries.


10. In 2023, India’s per capita income was about US$ 10030 per annum, placing it in which category? (a) Rich countries. (b) Low-income countries. (c) Low middle-income countries.

(d) High middle-income countries. Answer: (c) Low middle-income countries.


11. What major limitation do averages like per capita income have? (a) They are always inaccurate. (b) They are too complex to calculate. (c) They hide disparities in distribution.

(d) They only measure non-material goods. Answer: (c) They hide disparities in distribution.


12. Based on the comparative data for 2021-22, which state had the highest per capita income? (a) Kerala. (b) Bihar. (c) Haryana.

(d) Uttar Pradesh. Answer: (c) Haryana.


13. What does Infant Mortality Rate (IMR) indicate? (a) The number of children that die after the age of five. (b) The number of children that die before the age of one year, per 1000 live births.

(c) The number of infants born per 1000 people. (d) The number of mothers who die during childbirth. Answer: (b) The number of children that die before the age of one year, per 1000 live births.


14. According to the data for 2020, which state had the lowest Infant Mortality Rate? (a) Haryana. (b) Bihar. (c) Uttar Pradesh. (d) Kerala.

Answer: (d) Kerala.


15. What does the Net Attendance Ratio measure? (a) The number of children attending primary school. (b) The total number of children of age group 15-17 years attending school as a percentage of the total number of children in the same age group.

(c) The number of children who have completed high school. (d) The total number of students enrolled in a country. Answer: (b) The total number of children of age group 15-17 years attending school as a percentage of the total number of children in the same age group.


16. The reason Kerala has a low Infant Mortality Rate is: (a) Its high per capita income. (b) Its pleasant climate. (c) The adequate provision of basic health and educational facilities.

(d) Its low population density. Answer: (c) The adequate provision of basic health and educational facilities.


17. Which of the following is an example of a public facility? (a) A private car. (b) A personal mobile phone. (c) A government school.

(d) A house owned by an individual. Answer: (c) A government school.


18. What does ‘PDS’ stand for in the context of public facilities? (a) Private Distribution System. (b) Public Development Scheme. (c) Public Distribution System.

(d) Primary Donation System. Answer: (c) Public Distribution System.


19. What is Body Mass Index (BMI) used to find out? (a) If a person is literate. (b) A person’s income level. (c) If we are properly nourished.

(d) A person’s life expectancy. Answer: (c) If we are properly nourished.


20. The Human Development Report is published by which organization? (a) World Bank. (b) World Health Organization (WHO). (c) United Nations Development Programme (UNDP).

(d) Government of India. Answer: (c) United Nations Development Programme (UNDP).


21. What three criteria does the Human Development Report use to compare countries? (a) Industrial growth, agricultural output, and exports. (b) Per capita income, population, and land area. (c) Educational levels of the people, their health status, and per capita income.

(d) Military strength, technological advancement, and political stability. Answer: (c) Educational levels of the people, their health status, and per capita income.


22. What does HDI stand for? (a) Human Development Index.

(b) High Development Index. (c) Human Disparity Index. (d) Health Development Index. Answer: (a) Human Development Index.


23. According to the Human Development Report 2023-24, which neighboring country is much ahead of India in every respect? (a) Pakistan. (b) Nepal. (c) Bangladesh. (d) Sri Lanka.

Answer: (d) Sri Lanka.


24. What is the meaning of “Sustainability of Development”? (a) Ensuring that development happens very quickly. (b) Ensuring that development benefits only the rich. (c) Maintaining the level of development for future generations.

(d) Stopping all development to protect the environment. Answer: (c) Maintaining the level of development for future generations.


25. Groundwater is an example of which type of resource? (a) Non-renewable resource. (b) Renewable resource.

(c) Man-made resource. (d) Exhaustible resource. Answer: (b) Renewable resource.


26. Resources that will get exhausted after a few years of use are called: (a) Renewable resources. (b) Sustainable resources. (c) Non-renewable resources.

(d) Public resources. Answer: (c) Non-renewable resources.


27. According to recent evidence, nearly one-third of India is overusing which resource? (a) Coal reserves. (b) Crude oil stocks. (c) Forest resources. (d) Groundwater reserves.

Answer: (d) Groundwater reserves.


28. Crude oil is an example of a: (a) Renewable resource. (b) Non-renewable resource.

(c) Sustainable resource. (d) Human-made resource. Answer: (b) Non-renewable resource.


29. What is a key reason why Haryana, despite higher per capita income, lags behind Kerala in crucial areas like IMR? (a) Haryana’s government spends less on agriculture. (b) Kerala has better public facilities.

(c) People in Haryana do not want better health facilities. (d) The climate of Kerala is better. Answer: (b) Kerala has better public facilities.


30. What does Life Expectancy at birth denote? (a) The average expected length of life of a person at the time of birth.

(b) The life expectancy of a newborn after one year. (c) The average age of the population. (d) The maximum age a person can live. Answer: (a) The average expected length of life of a person at the time of birth.


31. The developmental goal for a prosperous farmer from Punjab would likely include: (a) More days of work and better wages. (b) Assured high family income through higher support prices for crops.

(c) Getting as much freedom as her brother. (d) Small check dams or tanks to irrigate their land. Answer: (b) Assured high family income through higher support prices for crops.


32. According to the text, a job with high pay but no job security reduces one’s sense of: (a) Dignity and respect. (b) Security and freedom.

(c) Equal treatment. (d) Friendship. Answer: (b) Security and freedom.


33. What is the main idea behind National Development? (a) Focusing only on the development of a small group of people. (b) Thinking about a fair and just path of development for all.

(c) Adopting the development model of the richest countries without question. (d) Prioritizing income above all other goals. Answer: (b) Thinking about a fair and just path of development for all.


34. The text mentions an incident of toxic waste dumping in Abidjan, a city in which country? (a) Nigeria. (b) South Africa. (c) Kenya. (d) Ivory Coast.

Answer: (d) Ivory Coast.


35. How is Per Capita Income calculated? (a) Total income of the country multiplied by its total population. (b) Total income of the country minus the total taxes. (c) Total income of the country divided by its total population.

(d) The income of the richest person in the country. Answer: (c) Total income of the country divided by its total population.


36. Literacy Rate measures the proportion of literate population in which age group? (a) 15-and-above. (b) 18-and-above. (c) 7-and-above.

(d) 6-and-above. Answer: (c) 7-and-above.


37. Which country depends on importing oil from abroad because it does not have enough stocks of its own? (a) USA. (b) Countries in the Middle East. (c) India.

(d) The text does not specify. Answer: (c) India.


38. What does the text suggest is the best and cheapest way to provide many important things in life? (a) Through individual purchase. (b) By providing them collectively through public facilities.

(c) Through private companies only. (d) Through international aid. Answer: (b) By providing them collectively through public facilities.


39. Overuse of groundwater is particularly found in which agriculturally prosperous regions? (a) Eastern U.P. and Bihar. (b) Punjab and Western U.P.

(c) Coastal areas of Odisha. (d) The northeastern states. Answer: (b) Punjab and Western U.P.


40. The issue of sustainability of development is the concern of: (a) Only scientists. (b) Only economists. (c) Only philosophers. (d) Scientists, economists, philosophers, and other social scientists working together.

Answer: (d) Scientists, economists, philosophers, and other social scientists working together.


41. The developmental goal for a landless rural laborer is likely to be: (a) Higher support prices for crops. (b) Settling children abroad. (c) More days of work and better wages.

(d) Wanting more dams for electricity. Answer: (c) More days of work and better wages.


42. Which of the following is considered a non-material thing that is important for the quality of life? (a) Money. (b) A car. (c) A house. (d) Friendship.

Answer: (d) Friendship.


43. The comparison of two imaginary countries, Country A and Country B, with identical average incomes illustrates that: (a) Average income is the only important factor. (b) Equitable distribution of income is also important.

(c) Country B is better because one person is extremely rich. (d) Both countries are equally developed and desirable to live in. Answer: (b) Equitable distribution of income is also important.


44. What factor is NOT explicitly part of the Human Development Index (HDI) calculation? (a) Per capita income. (b) Health status (Life Expectancy). (c) Environmental Sustainability.

(d) Educational levels. Answer: (c) Environmental Sustainability.


45. According to the data in Table 1.6, which country has a lower per capita income than India but a better life expectancy? (a) Pakistan. (b) Sri Lanka. (c) Myanmar. (d) Bangladesh.

Answer: (d) Bangladesh.


46. The quote, “We have not inherited the world from our forefathers — we have borrowed it from our children,” relates to which concept? (a) National Development. (b) Per Capita Income. (c) Sustainability of Development.

(d) Human Development Index. Answer: (c) Sustainability of Development.


47. According to Table 1.7, which region/country has the largest reserves of crude oil? (a) United States of America. (b) The World (as a whole). (c) Middle East.

(d) India. Answer: (c) Middle East.


48. Why is it important for development to consider a mix of goals, not just income? (a) Because material goods are not all that you need to live.

(b) Because non-material goals are easier to achieve. (c) Because income is too difficult to measure accurately. (d) Because richer people are always less happy. Answer: (a) Because material goods are not all that you need to live.


49. The Human Development Report has made it clear that the most important aspect of development is: (a) The country’s total income. (b) The growth of its industries. (c) What is happening to the citizens of a country — their health and well-being.

(d) The stock of natural resources. Answer: (c) What is happening to the citizens of a country — their health and well-being.


50. The development goal of an adivasi from the Narmada valley might conflict with that of an industrialist because the industrialist may want: (a) Small check dams. (b) More dams for electricity, which could displace the adivasi.

(c) Higher support prices for crops. (d) Better wages for laborers. Answer: (b) More dams for electricity, which could displace the adivasi.


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Class 10 Economics Chapter 1 MCQ – Assertion and Reason Questions

Directions: In the following questions, a statement of assertion (A) is followed by a statement of reason (R). Mark the correct choice as: (a) Both A and R are true and R is the correct explanation of A. (b) Both A and R are true but R is not the correct explanation of A. (c) A is true but R is false. (d) A is false but R is true.

1. Assertion (A): Different persons can have different developmental goals. Reason (R): What may be development for one may not be development for the other; it may even be destructive for the other.

Answer: (a) Both A and R are true and R is the correct explanation of A.


2. Assertion (A): Per capita income is a useful criterion for comparing the development of countries. Reason (R): Per capita income perfectly reflects the distribution of income among the people and the availability of public facilities.

Answer: (c) A is true but R is false.


3. Assertion (A): Kerala has a better human development ranking than Haryana despite having a lower per capita income. Reason (R): Kerala has a low Infant Mortality Rate because it has adequate provision of basic health and educational facilities.

Answer: (a) Both A and R are true and R is the correct explanation of A.


4. Assertion (A): The present type and levels of development are not sustainable. Reason (R): We are rapidly consuming non-renewable resources like crude oil that took millions of years to be created and will get exhausted.

Answer: (a) Both A and R are true and R is the correct explanation of A.


5. Assertion (A): The Human Development Report published by UNDP is a comprehensive measure of development. Reason (R): It compares countries based on educational levels, health status, and per capita income.

Answer: (a) Both A and R are true and R is the correct explanation of A.


6. Assertion (A): Money in your pocket cannot buy all the goods and services that you may need to live well. Reason (R): Your money cannot buy you a pollution-free environment or protect you from infectious diseases unless the whole community takes preventive steps.

Answer: (a) Both A and R are true and R is the correct explanation of A.


7. Assertion (A): For development, people look at a mix of goals. Reason (R): A job with less pay but regular employment enhances a sense of security and may be preferred over a high-paying but insecure job.

Answer: (a) Both A and R are true and R is the correct explanation of A.


8. Assertion (A): Total income is a very useful measure for comparing the development levels of different countries. Reason (R): Countries have different populations.

Answer: (d) A is false but R is true.


9. Assertion (A): Sri Lanka has a better HDI rank than India. Reason (R): The per capita income of Sri Lanka is lower than that of India.

Answer: (c) A is true but R is false. (According to the table, Sri Lanka’s per capita income is higher than India’s).


10. Assertion (A): Groundwater is a renewable resource. Reason (R): If we use more groundwater than what is being replenished by rain, we would be overusing this resource.

Answer: (b) Both A and R are true but R is not the correct explanation of A. (The reason explains the condition of overuse, not why it is classified as renewable).


Class 10 Economics Chapter 1 MCQ – Statement-Based Questions

Directions: Read the given statements carefully and choose the correct option.

1. Consider the following statements regarding developmental goals and choose the correct option. I. Different persons always have the same notion of development. II. What may be development for one can be destructive for another. III. People desire non-material things like freedom and security, in addition to income. IV. Conflicting goals are not a feature of development.

Options: (a) I and IV are correct. (b) II and III are correct. (c) I, II, and III are correct. (d) All are correct.

Answer: (b) II and III are correct.


2. Which of the following statements about comparing countries are true? I. The World Bank uses per capita income to classify countries.

II. Rich countries generally have a per capita income of US$ 2400 or less.

III. Per capita income is calculated by dividing the total population by the total income.

IV. Average income is a useful tool for comparison, but it hides disparities.

Options: (a) I and IV are true. (b) II and III are true. (c) I, II, and IV are true. (d) All are true. Answer: (a) I and IV are true.


3. Read the statements below regarding the comparative data of Haryana, Kerala, and Bihar. I. Haryana has the highest per capita income among the three states.

II. Bihar has the highest Infant Mortality Rate among the three. (Note: Bihar and Haryana have similar rates, but Kerala’s is far lower).

III. Kerala has the highest Literacy Rate and Net Attendance Ratio.

IV. Per capita income is the only indicator needed to fully assess the development of a state.

Which of the above statements are correct? (a) I and II (b) I, II, and III (c) III and IV (d) I and III Answer: (d) I and III


4. Consider the following statements about the Human Development Report (HDR). I. It is published by the World Bank.

II. It includes health and education indicators along with income.

III. It shows that Nepal and Bangladesh have a better life expectancy than India, despite lower per capita income.

IV. It made it clear that what is important in development is what is happening to the citizens of a country.

Choose the correct option: (a) I, II and III are correct. (b) II, III and IV are correct. (c) I, III and IV are correct. (d) All are correct. Answer: (b) II, III and IV are correct.


5. Which of the following statements about the sustainability of development is/are correct? I. Sustainability is the idea of meeting present needs without compromising the ability of future generations to meet their own needs.

II. Non-renewable resources, like crude oil, have a fixed stock and will get exhausted.

III. Groundwater is a non-renewable resource and cannot be replenished.

IV. The consequences of environmental degradation respect national or state boundaries.

Options: (a) I and II (b) II and III (c) I, II, and IV (d) All are correct. Answer: (a) I and II


6. Identify the correct statements from the following. I. Public facilities like schools and security are often cheaper when provided collectively.

II. Money can easily buy a pollution-free environment for an individual.

III. A high per capita income is a completely adequate indicator of material well-being.

IV. Kerala’s good performance on health indicators is due to its well-functioning Public Distribution System (PDS) and health facilities.

Options: (a) I and IV are correct. (b) II and III are correct. (c) I, III, and IV are correct. (d) All are correct. Answer: (a) I and IV are correct.


7. Consider the following statements regarding income as a developmental goal. I. For comparing countries, their income is considered one of the most important attributes.

II. More income means more of all things that human beings need.

III. For comparison between countries, total income is a very useful measure.

IV. Average income tells us exactly how income is distributed among people.

Which of the above are true? (a) I and II (b) III and IV (c) I, II, and III (d) All are true. Answer: (a) I and II


8. Read the statements below about developmental goals and identify the correct ones. I. A rural woman from a land-owning family and a boy from a rich urban family will have the exact same developmental goals.

II. People look at a mix of goals for development, not just income.

III. A safe and secure environment may allow more women to take up jobs or run a business.

IV. National development means thinking only about ideas that benefit a small group of people.

Options: (a) I and IV only (b) II and III only (c) I, II, and III only (d) All are correct. Answer: (b) II and III only


9. Which of the following statements about resource sustainability is correct? I. We have inherited the world from our forefathers.

II. Recent evidence suggests that groundwater is under a serious threat of overuse in many parts of India.

III. Discovering new non-renewable resources means the stock will never get exhausted.

IV. India has enough crude oil reserves and does not depend on imports.

Options: (a) Only II is correct. (b) I and III are correct. (c) I and IV are correct. (d) II and IV are correct. Answer: (a) Only II is correct.


10. Identify the true statements regarding different development indicators. I. Infant Mortality Rate (IMR) is an indicator of health status.

II. Literacy Rate is an indicator of income level.

III. Net Attendance Ratio is an education indicator.

IV. Body Mass Index (BMI) is used to assess nutritional status.

Options: (a) I, III, and IV are true. (b) I, II, and IV are true. (c) I, II, and III are true. (d) All are true. Answer: (a) I, III, and IV are true.

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